Cultivating Design Thinking for Sustainable Business Transformation in a VUCA World: Insights from a German Case Study

Abstract

Companies around the world are facing global challenges, such as internationally interwoven crisis situations and conflicts, climate change, the effects of the COVID-19 pandemic, and technological disruptions. While the UN has developed a global agenda (namely, the SDGs) to drive sustainability, at a political and economic level, global players seem to have a rather heterogeneous understanding of the situation. How can companies successfully adapt to the resulting turbulent market environments? Design Thinking, a method for finding answers to complex and wicked problems, is experiencing a renaissance wherein it is being used not only as a tool for product innovation but also for organizational and strategic transformation. By incorporating the principles of Industry 5.0 into company visions and integrating Design Thinking and ecodesign at the level product innovation, Design Thinking can help strengthen the adaptability of companies and create sustainable innovations in these VUCA environments. However, the factors that are necessary to realize the full potential of Design Thinking for sustainable business transformation remain unclear in science. This paper presents a case study that shares key factors, including a company DNA that consists of a targeted orchestration of diversity and the company’s Love–Trust–Do mantra that, in combination, work transnationally in the company organization and can utilize the full potential of Design Thinking to foster sustainable innovation and thus strengthen the company’s resiliency in times of VUCA.